Fiscal 2009/10 Overhead Recovery Fee Update
This message is sent on behalf of Jeffrey Ives, Director, Office of the Budget, and Cris Tinmouth, Controller, Financial Services.
September 15, 2009
To: Fund Financial Managers with Student-related revenues
Subject: Fiscal 2009-10 Overhead Recovery Fee
As previously communicated, the newly introduced 1.5% overhead recovery fee being charged on revenues earned in non-1A unrestricted, non-research related funds, is in effect starting in Fiscal 2009-2010. The fee is in recognition of the services provided by the University in support of self financing activities. The first quarter charges will occur by the end of September 2009 equal to 1.5% of revenue earned during the quarter in funds within fund types 1B, 1C, 1D and 1E.
Subsequent to further discussions with the Provost, Financial Services and Student Life & Learning, it was decided that this overhead recovery fee will be reimbursed for account types 5G (Sales to Students) and 5I (Student Contributions) for the current fiscal year, on a quarterly basis. This is a one year reimbursement for funds deriving revenue directly from student groups. Beginning in FY2011 the overhead recovery fee will no longer be reimbursed on such revenues.
This amendment is reflected in the related Frequently Asked Questions at http://www.mcgill.ca/files/financialservices/FAQs_Overhead_Recovery_Fee.pdf
Should you have any questions concerning this memo, please contact Jeff Ives, Director, Office of the Budget (ext. 2851) or Cris Tinmouth, Controller (ext. 2310).